What’s the Value of your House?
Would you like to view websites to see what the value of your property is? In your opinion, are these websites accurate?
In America, individuals are always interested in the value of their property, as well as the value of your neighbor’s, your relative’s, and your supervisor’s house. Even though tax records will show you the purchase date and price, and the tax value, these numbers typically don’t indicate a current range of probable market value.
Market value is defined as:
- The most probable price a property will bring in an open market
- The buyer and seller acting without undue pressure
- A reasonable length of time must be allowed for the property to be exposed
- Payment made in cash or its equivalent
- Both buyer and seller must be well-informed of the property’s use and potential, including its assets and defects.
In the process of obtaining the market value of your property today, individuals are checking out many of the free websites that have gained greater attention in the recent months. These websites can be fun to see what the website determines is the “market value” of your property; however,the main question to be answered is if the number provided is correct and accurate?
Let’s ponder this question: Can these websites really come up with a figure in line with a professional appraiser or your real estate agent? By giving a street address and zip code, can an individual really “bank” on this information?
Let’s use a real house in Charlotte, NC, and see what these websites give as the value for Lynn and Andrew Weller’s older home in the Elizabeth neighborhood, near Mercy Hospital located at 2100 East 5th Street, Charlotte, NC, 28204.
Lynn and Andrew purchased this home in 1991 for a price of $112,000. Their home was built in 1928. They remodeled and “fixed up” this home by redoing two bathrooms and updating all the other rooms. Let’s see what the following websites determine as the value of their property.
Websites To View:
- www.Zillow.com Based on county tax assessment and sales history for your home (which includes number of bedrooms and square footage) and sale prices for similar area homes).Report features aerial map of the neighborhood, plus market assessments of closest homes or most recent sales.Price Given: $448,064
- www.Housevalues.com Based on e-mail or phone assessment by a local real estate agent, who uses a questionnaire that you complete.Report features a price range of previous house sales in the area, and the agent’s offer to do an in-person evaluation.Price Given: An agent will contact you to discuss the market value of your home.
- www.Domania.com Based on data on recent area home sales.Report features the site promises that you’ll hear from a local real estate agent with more information.Price Given: No Price GivenPaid $9.95 for a 12 page report which included 20 comparables, all very recent sales but taken from a very wide area. Lots of extra information about Charlotte in general.
- www.RealEstateABC.com Based on data n recent area home sales, marketplace trends, and a proprietary algorithm.Report features past sale prices and dates for area houses, plus number of bedrooms, bathrooms, and square footage.Price Given: $471,000, adjusted to $436,000 by choosing comparables closer to the home size and most recent sales.
If you are “uneasy” with the values obtained from these websites, a professional appraiser may need to be hired to determine the market value of your property. The appraiser bases their opinion typically with an in-person of the interior and exterior of the improvement and comparison to similar properties in the area which have closed. Appraisal reports typically feature detailed property information, including floor plan, measurements, square footage, and comparable sales.
Also REALTORS can provide a market analysis of your home. There are many variables in determining the “market value” of a house.
Lynn and Andrew feel their property is worth between $380,000 and $425,000.
